Hi, this probably sounds ridiculous to most of you, but if anyhow possible, I'd like to start "trading" with 500$, since I can't more right now. The main reason is to make myself familiar with the processes and give me an extra portion of motivation to observe the markets. I've started to reading books about it and I want to study the markets and the trading theory intensively during the coming 2 months (since have vacations). Especially I'm interested in commodities, I'm considering buying options, since it would give me the highest leverage, which I need with such a little capital. So how do I start? Can you recommend me any online-broker? I saw there are many online brokers which offer 30days trial accounts, can you recommend that or is there a rub in it? I'd really appreciate some advice!! Thanks a lot in advance!!
500 Bucks? Don't waste your time. Consider trading if you can gather up a minimum of $25 k and can afford to lose it.
you can start with any amount... the problem is... most brokers have an account minimum... like $2000 or $3000. I think the best way to start and learn is... try to find 3 or 4 friends and start a small investment club, you will learn a ton.
Buy $500 worth of GOOD tech books and trade off a demo account testing yourself till you save up at least $10,000.
Some brokers might accept a $ 500 account. You might check some broker websites and find a compatible broker. I do not think you have enough money to trade futures. Options expire within months. Stocks might be your best choice. Stocks do not expire and you can trade as little as 1 share. I started trading penny stocks. I remember buying 100 shares of Excoa Oil And Gas at approximately $ 0.20 / share about July 1980. The price rallied to $ 0.40 / share and I thought I knew what I was doing. Then the price went to $ 0.10 / share and the price quotes stopped appearing in the newspaper. It was a great education and it only cost me $ 40 plus commissions. Do you have any trading rules? Do you have a trading plan?
thanks for the replies and the advices, however I just like to do it, so if there are any possibilites, please let me know. I mean for example there are apparently forex broker where you can start with about 200 bugs!? what you mean with a investment club? to fund and invest together or more like to discuss about current topics? could you refer me some brokers with such low account minimums? Thanks for your help!
hey, thanks for the reply! I don't have any rules nor a plan yet, but as I wrote I'm intending to get involved intensively with the topic within the next months. I'd just like to open an account as soon as possible in order to get access to good data and charts and familiarise myself with it. what's about these 30days trial accounts, do you, or anybody else, have experiences with it? Thanks for the help!
You may be putting the cart in front of the horse.... With out a trading plan and rules, you are like a ship at sea without a compass... invest some time reading and learning, before committing $1 to the market. For familiarization, Yahoo charts are free, so is the public library. Not trying to discourage you, but the odds are against you. Your only defense is preparation and education... good luck edit: Recommended reading... "Trading In The Zone" by Douglas...